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LECTURE 2 ORSC 201 ‐ ORGANISATIONAL BEHAVIOUR Dr Faiza Ali SDSB

Organizational Behavior A field of study that investigates the impact that individuals, groups, and structure have on behavior within organizations, for the purpose of applying such knowledge toward improving an organization’s effectiveness.

Intuition and Systematic Study Intuition

• Gut feelings • Individual observation •Common sense

Systematic Study

•Looks at relationships •Scientific evidence •Predicts behaviors

The two are complementary means of predicting behavior.

An Outgrowth of Systematic Study… Evidence-Based Management (EBM) Basing managerial decisions on the best available scientific evidence Must think like scientists:

Pose a managerial question

Search for best available evidence

Apply relevant information to case

Managers Should Use All Three Approaches  – Jack Welsh ■ Intuition is often based on inaccurate information ■ Faddism is prevalent in management ■ Systematic study can be time consuming  

Contributing Disciplines Many behavioral sciences have contributed to the development of Organizational Behavior

Psychology

Social Psychology

Sociology

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Anthropology

Psychology The science that seeks to measure, explain, and sometimes change the behavior of humans and other animals. ■Unit of Analysis: –  ■Contributions to OB: –      –   ! –     – "  

Social Psychology An area within psychology that blends concepts from psychology and sociology and that focuses on the influence of people on one another. ■Unit Unit of Analysis: – # ■Contributions Contributions to OB: –  – $ – % – # – #

Sociology The study of people in relation to their social environment or culture.

Unit of Analysis: && '( '(

&& #

■ Contributions to OB: – # – )

– +' – '

– % – *

– ' – '

– % – 

Anthropology The study of societies to learn about human beings and their activities.

Unit of Analysis: && '( '(

&& #

■ Contributions to OB: – ' – ' 

– % – % – %&

Few Absolutes in OB Situational factors that make the main relationship between two variables change—e.g., the relationship may hold for one condition but not another. Contingency Variable (Z)

Independent Variable (X)

Dependent Variable (Y)

In American Culture

Boss Gives “Thumbs Up” Sign

Understood as Complimenting

In Iranian or Australian Cultures

Boss Gives “Thumbs Up” Sign

Understood as Insulting B “Up Yours!”

Challenges and Opportunities for OB The major challenges and opportunities are: ■ Responding to Economic Pressures ■ Responding to Globalization ■ Managing Workforce Diversity

Some other challenges and opportunities include: ■ ■ ■ ■ ■ ■ ■ ■

Improving Customer Service Improving People Skills Stimulating Innovation and Change Coping with “Temporariness” Working in Networked Organizations Helping Employees Balance WorkBLife Conflicts Creating a Positive Work Environment Improving Ethical Behavior

Responding to Economic Pressures ■ What do you do during difficult economic times?

– "  – ,         –     

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Responding to Globalization ■ Increased foreign assignments

■ Working with people from different cultures ■ Overseeing movement of jobs to countries with lowB cost labor

Managing Workforce Diversity ■ '  – " – % – % – -' Domestic Partners Race

Religion

Disability Gender

Age National Origin

Developing an OB Model ■ A  is an abstraction of reality – a simplified representation of some realBworld phenomenon. ■ Our OB model has three levels of analysis – "

Types of Study Variables Dependent (Y)

Independent (X)

– 1 .0 –   

–   ./0 –   /

X

– 2

Y

Predictive Ability

Interesting OB Dependent Variables ■ Productivity –   .0  .0 ■ Absenteeism – +3  ■ Turnover – 4' ■ Deviant Workplace Behavior – 4' &'5

More Interesting OB Dependent Variables ■ Organizational Citizenship Behavior (OCB) – 67 !8  ' ■ Job Satisfaction – $.07!9 :! 

The Independent Variables .10 ; ■Individual –           ■Group – %        ■Organization System – '   '

OB Model

Three Levels

Dependent Variables (Y)

Independent Variables (X)

Summary and Managerial Implications ■ Managers need to develop their interpersonal skills to be effective. ■ OB focuses on how to improve factors that make organizations more effective. ■ The best predictions of behavior are made from a combination of systematic study and intuition. ■ Situational variables moderate causeBandBeffect relationships, which is why OB theories are contingent. ■ There are many OB challenges and opportunities for managers today. ■ The textbook is based on the contingent OB model....